Sen's Paradoxes

Sen's Paradoxes highlight that government policies aimed at reducing poverty can sometimes unintentionally increase it or hinder economic growth. For example, raising minimum wages might boost workers' income but could lead to higher unemployment if businesses cut jobs. Similarly, strong social safety nets may reduce poverty initially but could also discourage work incentives or lead to economic inefficiencies. These paradoxes emphasize the complex and often contradictory effects of policies, illustrating that well-intentioned interventions can produce unexpected outcomes, requiring careful analysis and balanced approaches rather than assumptions that cause-and-effect are always straightforward.